May 02, 2016
From the Financial Reporting Network
The FASB recently proposed an ASU, Restricted Cash (a consensus of the FASB Emerging Issues Task Force), which would require companies to include in total cash and cash equivalents on the statement of cash flows the cash and cash equivalents that have restrictions on withdrawal or use. The proposal, which is intended to reduce diversity in practice, would be applied retrospectively. The FASB will determine the effective date and whether to permit early adoption after considering stakeholder feedback. The comment period ends June 27.